Seeds of Wisdom RV and Economic Updates Saturday Morning 3-22-25

Good Morning Dinar Recaps,

SEC HOLDS FIRST CRYPTO ROUNDTABLE TO REASSESS REGULATORY FRAMEWORK

Despite presenting contrasting arguments, advocates and skeptics conceded that crypto needs regulatory clarity in the US.

The US Securities and Exchange Commission (SEC) held its first crypto task force roundtable on March 21 to discuss regulation, which ended in a consensus that crypto needs regulatory clarity in the US despite diverging views among the panelists.

Panelists ranged from crypto advocates to skeptics and the session focused on longstanding debates, including the classification of digital assets and the limits of existing securities laws in addressing decentralized technologies.

Advocates defended decentralization as a gauge for determining whether a token is a security. At the same time, skeptics argued that the current definition by the Howey test works, as the SEC won more motions than lost.

The event marked a shift in tone from the SEC under former Chair Gary Gensler, who frequently characterized most crypto tokens as securities and pursued enforcement actions against major firms.

Legal definitions and the scope of securities law

Discussions extended to what characteristics of digital assets, if any, justify different treatment under the law. Crypto advocates at the event suggested that beyond asking whether something is a security, the more relevant question may be whether certain securities merit exemptive relief.

Proponents argued that one possible differentiator is the degree of control exerted by issuers, a concept that better captures the decentralized nature of many blockchain networks.

Lee Reiners, a lecturing fellow at the Duke Financial Economics Center, said that all panelists agree that Bitcoin (BTC) is not a security because it is sufficiently decentralized.

However, he added that drawing a line to define if something is sufficiently decentralized or an investment contract is impossible, citing a Commodity Futures Trading Commission (CFTC) report that divides decentralization by spectrums based on different aspects.

Investor risk and statutory authority

Skeptics of the crypto industry presented contrasting perspectives. Former SEC enforcement official John Reed Stark and the most vocal critic maintained that the agency’s responsibility is to protect investors who purchase digital assets.

Additionally, crypto critics argued that the Howey Test remains a sufficient legal standard and that the SEC’s track record of litigation success affirms its interpretive authority. Stark suggested that there is no need to reinvent the framework.

Despite these divisions, participants generally agreed that clearer definitions and regulatory consistency would benefit the industry and the SEC’s oversight responsibilities.

The roundtable represents the first in a series of efforts to modernize the agency’s stance on crypto markets while balancing investor protection with technological innovation. It signals the beginning of the regulator’s reassessment process.

@ Newshounds News™

Source:  CryptoSlate

~~~~~~~~~

RIPPLE PUSHES SEC WITH 3-STEP PLAN FOR CLEAR CRYPTO REGULATIONS

▪️Ripple criticizes past SEC leadership for creating regulatory confusion and urges a return to clear, existing securities laws.

▪️Ripple proposes the SEC focus on enforcing established laws, not creating new ones, to provide clarity for the crypto market.

▪️With the SEC dropping its appeal, the Ripple lawsuit nears resolution, highlighting the need for defined crypto regulations.  

Ripple is calling on the SEC to finally bring clarity to crypto regulations. The company argues that unclear rules have caused confusion for years, making it harder for businesses and investors to navigate the industry.

 This comes after Hester Peirce, head of the SEC’s Crypto Task Force, asked the public for input on how crypto assets should be classified. Her request, titled “There must be some way out of here,” signals an effort to fix the mess left by past SEC leadership.

But Ripple isn’t holding back. The company has strongly criticized the SEC’s previous approach, calling it inconsistent, overly complicated, and legally weak.

Now, Ripple is laying out a clear plan to cut through the confusion – one that could finally bring long-overdue regulatory clarity.

Ripple Criticizes Previous SEC Leadership

In its response, Ripple strongly criticized the SEC’s former chairman, Gary Gensler  arguing that the agency’s past approach to crypto regulation was unclear, overly complicated, and lacked legal support. Ripple suggested that the SEC intentionally created confusion to hide its failure to follow proper legal processes.

To fix this, Ripple outlined three key steps the SEC should take to improve regulatory clarity.

Ripple’s Three-Step Plan for Clearer Regulations

1. Focus on True Securities
Ripple believes the SEC should only regulate assets that legally qualify as securities under federal law. The company argued that many digital assets, especially those that do not generate profit or yield, should not be classified as securities.

2. Enforce Existing Laws Instead of Creating New Ones
Ripple urged the SEC to stick to the laws already in place instead of introducing new rules that could create further confusion. The company stressed that only Congress has the power to make new laws, and the SEC should focus on enforcing existing regulations.

3. Provide Clear Guidelines
Ripple called on the SEC to take a more transparent approach to crypto regulations. It praised the SEC’s decision to clarify that meme coins are not securities, saying such clear guidance helps reduce uncertainty in the market. Ripple is now pushing for similar clarity across the entire crypto industry.

Ripple vs. SEC Lawsuit Nears Its End

Meanwhile, the long-running legal battle between Ripple and the SEC is close to wrapping up. The SEC has dropped its appeal against Ripple, leaving only Ripple’s cross-appeal as the final step. Many legal experts believe Ripple will withdraw its appeal once a favorable agreement with the SEC is reached.

After years of regulatory chaos, the SEC and Ripple might finally be on the same page. The real question is: will crypto finally get the clarity it deserves?

@ Newshounds News™
Source:  Coinpedia

~~~~~~~~~

Seeds of Wisdom Team RV Currency Facts Youtube and Rumble

Newshound's News Telegram Room Link

Q & A Classroom Link  

Follow the Roadmap

Follow the Timeline 

Seeds of Wisdom Team™ Website

Thank you Dinar Recaps